Abstract - Prospects for the Kazakhstan IT Market for 2016 and Beyond | Research | IDC Central Asia

Synopsis

This study analyzes major economic developments in Kazakhstan in 2014-2015 and their impact on the IT market in the country. It also presents outlook of for 2016-2017 and beyond based on IDC's assumptions.

Questions this document answers:

  • What is the impact of the economic downturn on Kazakhstan's IT market?
  • What is the outlook for the country's IT market for 2016-2017 and beyond?
  • What to expect in different industry segments?

"Kazakhstan's IT market is struggling with a dramatic decline in demand from customers related to budget constraints caused by external shocks and structural weaknesses in the country's economy. Customers have reduced not only spending on modernization initiatives and new projects, but also routine IT spending. On the supply side, IT providers are refocusing their offerings toward more cost-effective solutions, and adopting stricter budgeting and channel policies. One of the positive outcomes of the crisis is a shift in the IT market, from its current over-reliance on large-scale projects in the government sector and mineral resources industries, to a more diverse sectoral and project portfolio. Recent government initiatives aimed at balancing IT spending distribution and attracting private investment to realize IT development programs is another sign of a shift in the direction of a more efficient, transparent, and independent IT industry in Kazakhstan." — Senior Analyst Dauren Kurmangaliev, IDC Central Asia